Toolmaker W.W. Grainger beats Q4 profit estimates on strong industrial demand

WW Grainger

02/02/2024 13:48

Feb 2 (Reuters) - W.W. Grainger  GWW.N  reported
better-than-expected fourth-quarter profit on Friday, helped by
demand for its products from industrial clients.
    The company sells safety, maintenance and repair equipment
to North American and Japanese industrial clients and domestic
consumers in the United States.
    Its final-quarter adjusted profit of $8.33 per share beat
analysts' average estimate of $8.05 per share, according to LSEG
data.
    Shares of the Lake Forest, Illinois-based toolmaker were
trading up 2.4% before the bell on the New York Stock Exchange.
    Daily sales at the company's High-Touch Solutions segment,
which caters to the manufacturing, warehousing and metalworking
industries in North America, were up 4.7%, year-on-year.
    Overall revenue rose 5%, to $3.99 billion in the quarter
ending Dec. 31, while analysts' average expectation was $4.03
billion. 
    W.W. Grainger also provided a 2024 net sales target in the
range of $17.2 billion to $17.7 billion. Analysts estimated an
average of $17.5 billion. 
    Last month, rival Fastenal  FAST.O  also posted
better-than-expected fourth-quarter profit, citing higher demand
from manufacturers for its onsite products.

 (Reporting by Pratyush Thakur in Bengaluru; Editing by Pooja
Desai)
 ((pratyush.thakur@thomsonreuters.com;))